How to sabotage domestic energy production

A powerful Democrat in the House of Representatives has introduced a bill that will make it much harder to produce domestic energy supplies on federal land. Edward Felker of the Washington Times brings the insanity at work to light:

A powerful congressional chairman has joined a growing number of Democrats who want to sharply increase the cost of drilling leases that the government provides on federal lands, a move vigorously opposed by Big Oil and Republicans.

Rep. Nick J. Rahall II, West Virginia Democrat and chairman of the House Natural Resources Committee, has proposed a plan to boost royalty rates by 50 percent and to cut the lease periods to five years from the current 10 years or more. His recommendation would be part of a sweeping overhaul of the $22 billion, scandal-tarred oil and gas drilling program that the Interior Department oversees.

Mr. Rahall's bill would make numerous other changes to federal oil and gas leasing. Among other actions, it would:

End the "payment-in-kind" option that allows companies to pay royalties in oil and gas rather than cash. Mr. Salazar has said he would consider ending the program.

Tighten royalty payment rules through new penalties, elimination of interest on overpayments, and other adjustments.

Consolidate Interior Department leasing activities into a new Office of Federal Energy and Mineral Leasing, and end leasing by the Minerals Management Service and the Bureau of Land Management.

Require the adoption of five-year plans for oil and gas leasing on federal lands similar to those developed for offshore leasing.

A powerful Democrat in the House of Representatives has introduced a bill that will make it much harder to produce domestic energy supplies on federal land. Edward Felker of the Washington Times brings the insanity at work to light:

A powerful congressional chairman has joined a growing number of Democrats who want to sharply increase the cost of drilling leases that the government provides on federal lands, a move vigorously opposed by Big Oil and Republicans.

Rep. Nick J. Rahall II, West Virginia Democrat and chairman of the House Natural Resources Committee, has proposed a plan to boost royalty rates by 50 percent and to cut the lease periods to five years from the current 10 years or more. His recommendation would be part of a sweeping overhaul of the $22 billion, scandal-tarred oil and gas drilling program that the Interior Department oversees.

Mr. Rahall's bill would make numerous other changes to federal oil and gas leasing. Among other actions, it would:

End the "payment-in-kind" option that allows companies to pay royalties in oil and gas rather than cash. Mr. Salazar has said he would consider ending the program.

Tighten royalty payment rules through new penalties, elimination of interest on overpayments, and other adjustments.

Consolidate Interior Department leasing activities into a new Office of Federal Energy and Mineral Leasing, and end leasing by the Minerals Management Service and the Bureau of Land Management.

Require the adoption of five-year plans for oil and gas leasing on federal lands similar to those developed for offshore leasing.